Work Types for Billing
A work type represents a classification of work. You use work types to classify both actual and scheduled work. The billable status of a work type assigned to a scheduled assignment determines the default billable status of scheduled work.
In billing, you can use work types to classify work for the following purposes:
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To determine the default billable status of expenditure items.
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To classify cross-charge amounts into cost and revenue for cross-charge transactions.
Billable Project Work
The default billable status of scheduled work is determined by the billable status of the work type assigned to the scheduled assignments. You can also control the billable status of actual work by the work type assigned to actual transactions. If you choose to do this, then you must change the work type on an actual transaction to change the billable status of the transaction. It is recommended that you do this in order to maintain consistency between processing of actual transactions for customer billing and reporting for billable utilization.
Cross-Charge Work
Cross-charge work is project work performed by resources from one organization on a project belonging to another organization.
Typically the project-owning organization provides some compensation to the resource organization for this cross-charge work. The compensation can be in the form of sharing revenue with the resource organization or taking on the cost from the resource organization. This allows each organization to be measured on its performance independent of one another.
By default, the application treats all project costs as cost-based transfers. If you want to create revenue-based transfers, you must mark such project costs as revenue costs to associate them with the Revenue Transfer work type. If you do not do so, the application interprets your transaction as a cost-based transfer and looks for cost-based transfer price schedule lines associated with the transaction, but doesn't find any. This may lead to the following error message: The transfer price schedule line for the transaction isn't found.